Bitcoin has fallen below $6300 for the first time in weeks and ETH and XRP prices each dropped double digits from yesterday’s prices. The market hit a bloodbath on Thursday and investors are scrambling for reasons.
The Bitcoin fall may be pinned as the reason for ETH, XRP and altcoin fall, and that’s likely. We’ve seen a 5% fall in BTC price (like today) trigger a double loss in other coins. So we’re seeing a pattern repeat here. Still, the BTC fall seems to come without explanation.
What most are pointing to is the drop coming mostly in one hours time, meaning it was either an orchestrated drop by several parties, or one large “whale” triggering a sell-off as it caused a domino effect in daily price.
Bitcoin Falls Despite Recent Bullish Calls
The frustration amongst investors is palpable right now, after nearly an entire 2018 in a highly bearish market, wiping out 75% of crypto’s overall market cap, and as much as 90% of big name coins desperately trying to gain a foothold again.
Still, the frustration mounts higher given the events of the last few weeks, where noted “experts” made calls for a BTC resurgence. Just yesterday, a CNBC analyst said that Bitcoin’s price was ‘set to explode‘ due to coming products from ICE called Bakkt. That came after investor Mike Novogratz said that Bitcoin had hit its bottom and was expected to rise again.
Perhaps listeners should have been skeptical of this though, especially the first one. Research published in August showed a 95% positive indicator between what CNBC called for on BTC price and the OPPOSITE of what happened. So if an analyst on the channel said boom, a bust seemed likely to come. And that’s exactly what we’re seeing today.
What does it mean for Bitcoin? It remains to be seen. This year we’ve seen its price test several resistance levels near and around $6250 and $6300, so one might expect the price to bounce back, but support levels don’t last forever. It will need a still bullish crowd to come to its rescue.